Top Five Credit Card Scams #3: Phishing
Unfortunately, phishing has led to the successful fraud of thousands of people over the last few years. Sophisticated scammers use e-mail to lure people into divulging their personal and financial information. In the case of credit card scams, there are basically two methods.
The first method involves a similar scam to the phone fraud scam described in yesterday's post. An e-mail that appears to be from a legitimate credit card company is sent to the unsuspecting potential fraud victim. The e-mail requests the person to click a link and verify personal information, usually in response to feigned suspected credit card abuse. Most credit card companies now state clearly to their members that they will never request this type of information via e-mail.
The second version of this scam involves e-mails from credit card companies, banks, or other financial institutions. The letter requests the reader to click a link and provide information such as your Social Security number, your mother’s maiden name, or your birth date. These items are then used to assume your identity and set up fraudulent credit card accounts in your name.
To avoid these scams, never reveal any information after following a link in an e-mail. If you think the e-mail is legitimate, go directly to the company’s website by typing the URL into your browser's address bar rather than by clicking the link. For more information on phishing scams, visit the Wikipedia.